Transcription

2 1 INTRODUCTION 1.1 The Council levies charges and rent for a variety of services and is responsible for the collection of local taxes. Whilst the majority of income due is paid on time, arrears of payment do arise for a variety of reasons. This policy sets out the principles that will be applied when recovering the unpaid rent or charges. 1.2 This policy has been created in order to formalise statutory requirements and best practice across the Council. 1.3 The Council outlines, which debts should be given priority for recovery. 1.4 As part of this policy an initial equalities screening has been completed that looks across all areas of corporate debt recovery. This has been published on the Councils website and can be found, alongside other Equalities impact assessments relating to debt at 2 AIMS 2.1 The aims of the corporate debt policy are to: Facilitate a coordinated approach to managing multiple debts owed to the Council Identify where appropriate support, which may be required, to those owing money to the Council and ensure their circumstances are taken into consideration Apply best practice in relation to debt collection 3 SUPPORTING CORPORATE AIMS 3.1 The corporate debt policy and supporting principles support the delivery of the following corporate priority outcomes: Improved homes, health and well-being - Reducing homelessness - Meeting housing needs An efficient, well managed organisation that puts our customers at the heart of what we do - Improve our financial management - A well-regarded organisation DRAFT Corporate Debt policy May 2010 v0.6.doc 2

3 - Equitable services - Efficient and effective management of services Strong partnerships and engaged communities - Effective working with other public, voluntary and community sectors - Understanding our customers 4 SCOPE OF POLICY 4.1 This policy applies to the collection of: Council Tax Business Rates (NNDR) Business improvement district levy (NNDR) Council Tenant rents Former Council Tenant rents Rent for temporary and bed and breakfast accommodation Collection of rent bond payments Service Charges for leaseholders Re-chargeable repairs current tenants Re-chargeable repairs former tenants Housing benefit overpayments Sundry debts (i.e. Council services) 4.2 There are separate specific rules and legislation, which govern the enforcement and collection of these debts. 5 PRINCIPLES OF THE CORPORATE DEBT POLICY 5.1 The following principles will be followed when seeking to recover debt from customers: Effective arrangements will be in place for access, advice and support. Debt recovery action will include, where the need is identified, carrying out an assessment of the customer s ability to pay. This will be based on a version of the Common Financial Statement (A budgetary tool operated by the Money Advice Trust) Customers will be advised promptly about the existence of debt DRAFT Corporate Debt policy May 2010 v0.6.doc 3

4 Recovery action, including the provision of advice will be initiated within statutory periods or as soon as practicable. All letters will be clear and will give details of where to obtain advice Where customers owe more than one debt to the council, consideration will be given to a hierarchy of debt in order to identify priority debts Departments will work together to assess how much a customer can afford to pay Enforcement action for recovery will be taken where payment of debts owed to the Council are not secured at an amount agreed between the Council and the debtor The needs of customers will be taken into account and particularly where it is identified that customers are vulnerable. It is recognised that vulnerable customers may be less able to manage their financial affairs and additional support may be required. Vulnerable customers identified will be sign-posted to appropriate support agencies. Debt recovery action will take account of the vulnerability, for example, personal visits may be increased, assistance in filling in forms or writing letters may be provided, and liaison will take place with support agencies Some examples of vulnerability include: Young people leaving care or those who have left care and are under 25; The elderly; Customers with mental health needs affecting their ability to sustain independent living Customers with substance misuse, learning disability, or physical disability support needs; Victims of Hate Crime; Victims of serious anti social behaviour; Victims of domestic violence; Customers with sensory impairment support needs; Customers with serious ill health or HIV/AIDS Customers who have been homeless recently Each case of vulnerability will be considered based on its individual circumstances DRAFT Corporate Debt policy May 2010 v0.6.doc 4

5 6 ASSESSMENT OF ABILITY TO PAY 6.1 Debt recovery procedures will include carrying out an assessment of a customer s income and expenditure, identifying unclaimed benefits, providing advice and assistance with claiming benefits and tax credits and identifying priority and other debts. 6.2 Where customers are unable to clear the debt in one lump sum payment, arrangements will be made for payment by instalment. Provided the arrangement is kept to, no further recovery action will take place. Instalment arrangements will be realistic (taking into account income and necessary expenditure) and allow the customer to make reasonable payments to clear all priority debts. Customers with multiple debts will be sign-posted to more in depth advice. 7 HIERARCHY OF DEBT 7.1 Some customers will owe more than one debt to the Council, and may be on a low income or experiencing financial hardship. In such cases, it needs to be clear, which debts the Council considers a priority. 7.2 Priority will be given to debts where non-payment could lead to loss of the customer s home or imprisonment. These relate to rent arrears and Council Tax, which are most commonly enforced through the courts as per statutory requirements. 7.3 Where housing benefit is in payment, recovery will be implemented at a rate that allows reasonable re payment of other debts. 7.4 Other debts owed to the Council will be considered to be of lower priority. 8 ENFORCEMENT 8.1 The aim of this policy is to recover debt without having to resort to enforcement action. However, enforcement, including court action, will be necessary where debts are not paid. The Council will use all legal means to recover debts, including: Attachment of earnings orders Deduction from benefits Bailiffs and debt collection agencies Possession proceedings Bankruptcy County court money judgements Committal to prison proceedings DRAFT Corporate Debt policy May 2010 v0.6.doc 5

Chichester District Council Corporate Debt Recovery Policy 1 1. Introduction The Council raises a significant proportion of its total income through local taxes and charges. These sources of income provide

CORPORATE DEBT MANAGEMENT STRATEGY 1. Purpose of Strategy Stoke on Trent City Council is required to collect monies from both residents and businesses for the provision of a variety of goods and services.

Norwich City Council Debt Collection Policy Version 1.2 25 June 2014 Norwich City Council debt collection policy Introduction Norwich City Council is required to collect monies from both individuals and

Revenues' Recovery Policy Introduction This document sets out Birmingham City Council s policy in relation to the recovery of unpaid council tax. The powers for the recovery are contained within the Council

LEEDS CITY COUNCIL CORPORATE DEBT POLICY ( Draft Version 5 ) Summary of policy : This policy details the principles to be adopted by the Council when undertaking the collection of debt in the City of Leeds

KEY POLICY: FINANCE CORPORATE DEBT RECOVERY 1.0 Key Strategic Links This strategy links to all corporate objectives in that it seeks to be responsible with and accountable for public finances, which is

Council Tax and Benefits Service Debt Recovery Processes Council Tax and Housing Benefit Overpayments Version Control Version Revised by Date Description 1 Andi Frangeskou May 2015 Original issue 2 3 1.

Fair Debt Policy A policy to assist customers who owe money to the council. Why Have A Fair Debt Policy? Wyre Borough Council is required to collect monies from both its residents (Council Tax) and businesses

CORPORATE DEBT POLICY Reference: HSL/CDP/JE/06 Approved: 28/03/07 Revised: 1 Statement of Intent 1.1 The intention of the corporate debt policy is to set a clear over-arching statement on how the Housing

Vela Debt Recovery Policy Overview The scope of this policy is to establish a framework for the recovery of a range of debts which includes:- current and former tenant arrears current and former recharge

Fair Debt Collection Policy 1 1. Background 1.1 The council first approved a Fair Debt Collection Policy in 1995. The policy was established as a means of not only protecting the interests of the council

RENT COLLECTION, ARREARS & DEBT RECOVERY POLICY Approved by Board 21 July 2009 1. Introduction 1.1 This Policy sets out the principles and approach to be taken in making sure that rent and service charge

APPENDIX 1 DEBT RECOVERY POLICY This debt recovery policy of South Lakeland District Council aims to maximise income from all revenue generating sources whilst incorporating a sympathetic approach to the

Housing Benefit Overpayments Policy December 2013 1. Aims of the Policy 1.1. The aims of this policy are: 1.1.1. to ensure we minimise overpayments and reduce them as much as is possible when raised 1.1.2.

Scope and Purpose of this Policy Policy and Procedures for the Recovery of Council tax and Business Rates 1 The purpose is to establish a policy to ensure consistency, equality and probity in the collection

COUNCIL TAX COLLECTION POLICY Bradford Council recognises that some households are experiencing financial pressure through reduced income and increasing inflation and energy costs. This will inevitably

Local Taxation Debt Recovery Policy 1.0 Introduction Runnymede Borough Council has a statutory duty to bill and collect Council Tax and Non- Domestic Rates (commonly known as Business Rates). Whilst the

REVENUES DEBT RECOVERY POLICY 1.0 Introduction 1.1 Wyre Forest District Council is responsible for the collection of council tax and national non-domestic rates (NNDR) on behalf of Worcestershire County

Cheshire West & Chester Council Debt recovery code of practice 1.0 Introduction 1.1 This code of practice underpins Cheshire West and Chester Council s corporate debt policy and sets out the approach adopted

Local Housing Allowance Safeguard Policy Introduction: Under Local Housing Allowance housing benefit will usually be paid direct to the person applying for housing benefit (claimant). However, the purpose

Newcastle City Council Corporate debt policy December 2013 1 This policy sets out our approach to collecting and recovering debt owed to us by businesses and residents. Introduction Newcastle City Council

Council Tax Debt Recovery Policy Updated: Ian Johnson June 2016 Introduction This policy outlines the recovery process for Council Tax and highlights the various stages that lead to the court issuing a

Policy & Service Standards Debt Recovery OPERATIONAL CONTEXT Money charged by, or owed to, the Council is used to support the delivery of essential services and the provision of facilities to enhance the

DEBT RECOVERY POLICY OBJECTIVE 1.1 The objective of the Debt Recovery Policy is: To ensure that money owed to the Comhairle is collected as soon as possible using efficient, effective and fair debt recovery

London Borough of Lewisham Collection Process Page 1 Introduction 1. The Council has a duty to recover outstanding debts and in doing so we want to ensure that our process is fair to everyone, particularly

GEDLING BOROUGH COUNCIL A Fair Collection and Debt Recovery Policy GET IN TOUCH, NOT IN DEBT A Handbook for: Gedling Borough Council Staff and Members Local Advice Workers The Council s Collection Agents

Boston Borough Council Corporate Debt Recovery Policy Author: K Clarke Approved: 22.08.13 Version 1.3 05.12.14 1 We can provide this information in other languages and formats for example, in large print,

INCOME RECOVERY POLICY Policy Owner: Executive Director of Customer Services Accountable Lead Head of Customer Accounts Policy Control Policy Level Policy Reference Link to Strategy Version Control V.1

Guide to the Debt Recovery Process How it works, and what we The debt recovery process can seem confusing and daunting. We aim to simplify it as much as we can, and to make clear from the outset what we

Management and Collection of Debt Policy Effective date October 2014 Review date October 2017 Approved by Link Group Board 1. INTRODUCTION Link Group and its subsidiary companies provide a range of services

Milnbank Housing Association DEBT MANAGEMENT POLICY LS/NOV 2010/REF.P5 1) AIM OF POLICY The aim of the Policy is to enable Milnbank Housing Association to limit and manage all debts owing to the organisation

CHERWELL DISTRICT COUNCIL CORPORATE DEBT POLICY Summary of policy : This policy details the principles to be adopted by the Council when undertaking the collection of debt from both citizens and businesses.

LONDON BOROUGH OF ENFIELD CORPORATE DEBT MANAGEMENT POLICY 1. Introduction This document sets out the Council s policy for the billing, collection and enforcement of Council debt. Debt management is the

Southend-on-Sea Borough Council Department for Corporate Services Revenues & Benefits Service Housing Benefit A Guide to Overpayments A guide to Overpayments This leaflet is designed to explain the following:

NATIONAL NON DOMESTIC RATES BILLING, COLLECTION AND ENFORCEMENT POLICY AIMS OF THE POLICY 1 To advise customers of their National Non Domestic Rates liability as soon as possible 2 To help customers receive

South Lanarkshire Council Debt Recovery Policy If you need this information in another language or format, please contact us to see how we can best meet your needs. Phone 0303 123 1015 or email equalities@southlanarkshire.gov.uk

South Kesteven District Council Corporate Debt Management Policy 1 South Kesteven District Council Corporate Debt Management Policy 1. Introduction 2. Policy Aims 3. Policies Common to all Types of Debt

11 Phoenix Commercial Collections is one of the UK s leading providers of enforcement and debt recovery services. Our recovery solutions are professional, effective and fully supported by our proven systems,

MONEY WORRIES? A SELF HELP GUIDE TO DEALING WITH YOUR DEBTS Contents 1 Introduction page 3 Checking that the money is owed 4 Working out your budget Income Expenditure 4 Negotiating with Priority creditors